Schools’ budget squeeze could cost 138 jobs

Thursday

Feb 26, 2009 at 2:01 PMFeb 26, 2009 at 5:28 PM

A souring economy that’s generating less tax revenue for state and local governments could mean fewer teacher assistants, counselors, custodians, nurses, mentors and assistant principals in New Hanover County schools next year.

By Gareth McGrathStaff Writer

A souring economy that’s generating less tax revenue for state and local governments could mean fewer teacher assistants, counselors, custodians, nurses, mentors and assistant principals in New Hanover County schools next year.In a worst-case scenario, the schools could cut personnel and working hours equivalent to 138 full-time positions covering all aspects of school operations from administration to bus drivers.Other financial trimmings could include eliminating after-school buses, fewer students attending out-of-town academic competitions and less painting of facilities.Those are just some of the options school officials are looking at as they grapple with a budget shortfall that could exceed $9 million for the 2009-10 fiscal year, which begins July 1. “We’re at a point where we’re going to have to make some difficult decisions,” Superintendent Al Lerch said at a school board finance committee meeting Thursday.He said the district’s primary goal remains not interrupting services to students. To do that, however, the schools have had to look at cutting in other areas and squeezing more out of existing programs and personnel.One of those “efficiencies” could see high schools starting at 7 a.m. and elementary schools beginning at 9 a.m. That would enable the school system to reduce its number of buses and bus drivers.“The bottom line is our students, and we’ve got to do the best we can to protect them,” said Nick Rhodes, a member of the county Board of Education and head of the finance committee.But as unpalatable as classroom cuts are, they might be unavoidable.Roughly 60 percent of the district’s funding comes from Raleigh, with 30 percent coming from New Hanover County.Of the schools budget, 85 percent is spent on personnel costs.So when the schools are looking to cover a possible 5 percent reduction in funding from both governments, employee positions almost have to be in the crosshairs.New Hanover is covering funding shortfalls for the rest of this fiscal year largely by freezing open positions, watching non-essential expenses and limiting travel. The state also is shifting lottery proceed funds from capital to operating costs to help local districts.But the schools won’t have that luxury next year.Just to manage the projected cutback in funding from the county, New Hanover is looking to bridge a $6.8 million gap.That figure includes finding $1.5 million to cover projected new expenses, such as operating costs for the new Castle Hayne Elementary School and any increases in pay for teachers and premiums for health insurance.Finance Director Mary Hazel Small said the size of the state funding cut, which the schools will have to factor in, probably won’t be known for several weeks.No segment of school operations was left off the potential chopping block at Thursday’s meeting.Proposed budget cuts included trimming arts and athletic budgets by 10 percent, tweaking summer school hours, lowering the in-county mileage reimbursement by 30 percent, contracting out most grounds maintenance work and charging tuition to children of school employees who live outside the county.But it was cutting school personnel, particularly teaching assistants and counselors in the lower grades, that generated the most concern.Small said that when it came to personnel cuts, the staff was looking at cutting hours instead of positions and trimming operating costs instead of eliminating programs.“What we’re trying to do is save jobs,” she said.The district has 3,666 total positions.Officials added that the money in President Barack Obama’s stimulus bill also could help the schools save some positions.Lerch stressed that all of the proposals were just that at this point.“This is not gospel,” he said.School officials intend to huddle next week to further discuss the budget, which will have to be approved by the county commissioners.

Gareth McGrath: 343-2384gareth.mcgrath@starnewsonline.com

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